Developing leaders rather than managers for the global marketplace

The key to successfully competing in the global marketplace may be staffing key expatriate positions with accomplished /skilled leaders. Past research has focused on preparing managers to successfully expatriate to foreign assignment and repatriate back to the United States. The high failure rate and general lack of effectiveness of many expatriate managers may be attributed to not having a cultural match between the assignment and the leadership style of the expatriate. This article explains the complex issues associated with multicultural leadership and proposes a diagnostic leadership matrix based upon internal and external cultural constraints.     

Asymptotics for LS,GLS, and feasible GLS statistics in an AR(1) model with conditional heteroskedasticity

We consider a first-order autoregressive model with conditionally heteroskedastic innovations. The asymptotic distributions of least squares (LS), infeasible generalized least squares (GLS), and feasible GLS estimators and $t$ statistics are determined. The GLS procedures allow for misspecification of the form of the conditional heteroskedasticity and, hence, are referred to as quasi-GLS procedures. The asymptotic results are established for drifting sequences of the autoregressive parameter ${\rho }_n$ and the distribution of the time series of innovations. In particular, we consider the full range of cases in which ${\rho }_n$ satisfies $n(1?{\rho }_n)\to \infty$ and $n(1?{\rho }_n)\to h_1\in [0,\infty )$ as $n\to \infty$, where $n$ is the sample size. Results of this type are needed to establish the uniform asymptotic properties of the LS and quasi-GLS statistics.     

SCALE ECONOMIES OF THE FRANCHISED BUSES AND FERRIES OF HONG KONG, 1948–1998

The privatization of state transport operators has been driven by empirical discoveries in transport economic research of the constant or even diseconomies of scale of these operators. With reference to public records and official statistics, this paper is an initial attempt to examine the scale economies of and output relationship between major bus and ferry operators in Hong Kong during the period 1948–1998. The two franchised bus and two franchised ferry companies each experienced unique scale effects during different periods and correlated with each other in terms of production. The paper will also discuss the possible reasons for this phenomenon and policy concerns related to this finding.     

Sportsbook pricing and the behavioral biases of bettors in the NHL

The betting market for the NHL is investigated using actual betting percentages on favorites and underdogs from real sportsbooks. Sportsbooks do not appear to attempt to price to balance the book as betting percentages are not proportional to set odds. As in the NFL and NBA, bettors are shown to have a strong preference for favorites and road favorites in particular. Simple strategies of betting against significant imbalances toward the favorite are shown to generate positive returns. Although not pricing to balance the book, sportsbooks do not appear to price to exploit known bettor biases in all cases. Clear bettor behavioral biases for road favorites are not priced into the odds as the prices set in these cases appear to be a forecast of game outcomes. Pricing as a forecast may ensure long-run viability for the sportsbook as it discourages entry into this market by informed traders and still allows the sportsbook to capture its commission on losing bets over time.     

R-estimation of the parameters of a multiple regression model with measurement errors

We consider the theory of R-estimation of the regression parameters of a multiple regression models with measurement errors. Using the standard linear rank statistics, R-estimators are defined and their asymptotic properties are studied as robust alternatives to the least squares estimator. This paper fills the gap of the rank theory for the estimation of regression parameters with measurement error models. Some simulation results are presented to show the effectiveness of the R-estimators.     

How to control a chaotic economy?

An economic system which exhibits chaotic behaviour has been stabilized on various periodic orbits by use of the Ott-Grebogi-Yorke method. This procedure has been recently applied to controlling chaotic phenomena in physical, chemical and biological systems. We adopt this method successfully for Feichtinger's generic model of two competing firms with asymmetrical investment strategies. We show that the application of this control method to the particular economic process considered brings a substantial advantage: one can easily switch from a chaotic trajectory to a regular periodic orbit and simultaneously improve the system's economic properties. Numerical simulations are presented in order to illustrate the effectiveness of the whole procedure.The work was supported by the Alexander von Humboldt-Stiftung and by the Polish National Council (KBN) Grant No 2 P302 038 04.